Honda Taking $53M Charge for Recent Recalls

Honda Taking $53M Charge for Recent Recalls

Honda is preparing its books for additional recall charges.

The Japanese automaker has said that it will book $53 million in additional recall charges for vehicles, including the recent Fit recalls in the U.S. and the Vezel SUV in Japan. The recall was announced last week and covered about 426,000 vehicles in Japan, involving flaws in ignition coils and electrical circuits.

SEE ALSO: Honda CEO’s Pay Cut 20 Percent Following Fit Recalls

That marked the fifth recall for the Fit and the third for the Vezel this year alone and resulted in Honda’s President Takanobu Ito and other executives taking a pay cut. In the past year, recalls have cost the Japanese automaker nearly $93 million.

GALLERY: 2015 Honda Fit

2015-Honda-Fit-1.jpg2015-Honda-Fit-13.jpg2015-Honda-Fit-12.jpg2015-Honda-Fit-10.jpg2015-Honda-Fit-3.jpg2015-Honda-Fit-6.jpg2015-Honda-Fit-8.jpg

[Source: Automotive News]

Discuss this story on our Honda Fit forum